Santa Clara County (SCC): Spring Surge
Sales of single-family, re-sale homes rose for the second month in a row in April, compared to the year before. This is after 17 months of year-over-year declines.
Active listings continue to be anemic, down by double-digits for the eleventh month in a row. Pending sales have dropped into single-digit losses.
The median price for homes hit a new all-time high last month, as did our three-month moving average.
The sales price to list price ratio hit its highest level since April 2000.
Days on Market was at 20 last month.
All these statistics point to incredible demand.
The economy in Silicon Valley continues to power the market, along with demand from China.
April Stats (SCC)
Single-Family Homes
Year-Over-Year
- Median home prices increased by 8.3% year-over-year to $975,000 from $900,000.
- The average home sales price rose by 10.1% year-over-year to $1,280,480 from $1,163,500.
- Home sales rose by 4.8% year-over-year to 1,049 from 1,001.
- Total inventory* fell 16.6% year-over-year to 2,037 from 2,443.
- Sales price vs. list price ratio rose by 1.5% year-over-year to 107.7% from 106.2%.
Month-Over-Month
- Median home prices improved by 3.7% to $975,000 from $940,000.
- The average home sales price fell by 0.8% to $1,280,480 from $1,290,580.
- Home sales up by 30.6% to 1,049 from 803.
- Total inventory* increased 6.3% to 2,037 from 1,917.
- Sales price vs. list price ratio increased by 0.4% to 107.7% from 107.3%.
Condominiums
Year-Over-Year
- Median condo prices increased by 7.9% year-over-year to $565,000 from $523,750.
- The average condo sales price rose by 8.4% year-over-year to $641,360 from $591,713.
- Condo sales fell by 14.5% year-over-year to 361 from 422.
- Total inventory* fell 25.5% year-over-year to 619 from 831.
- Sales price vs. list price ratio rose by 2.7% year-over-year to 107.9% from 105.1%.
Month-Over-Month
- Median condo prices slipped by 0.9% to $565,000 from $570,000.
- The average condo sales price fell by 2.3% to $641,360 from $656,134.
- Condo sales up by 14.6% to 361 from 315.
- Total inventory* increased 14.2% to 619 from 542.
- Sales price vs. list price ratio increased by 0.9% to 107.9% from 106.9%.
* Total inventory is active listings plus contingent or pending listings. Active listings do not include contingent listings.
Call or email me if you have any questions.
For further details and a city-by-city breakdown statistics, go to http://avi.rereport.com/market_reports.
Mortgage Rate Outlook
Mortgage Rates Firming: Blame the Fed
May 1, 2015 —The Federal Reserve closed a meeting with no change to interest rate policy this week and provided little forward guidance about when they will start lifting rates in the future. Financial markets took it to mean that the Fed has punted a move to late summer at the very earliest, and possibly not even until much later in the year.
While there isn’t quite a lockstep arrangement between mortgage rates and yields on Treasuries, there is still considerable influence from one to the other. With the mortgage-influencing 10-year Treasury yield rising by about 15 basis points during the week, mortgage rates are now in a bit of a firming trend.
HSH.com’s broad-market mortgage tracker — our weekly Fixed-Rate Mortgage Indicator (FRMI) — found that the overall average rate for 30-year fixed-rate mortgages rose by six basis points (.06%) this week to an average 3.84 percent, a six-week high but squarely in the middle of the range for 2015 so far. The FRMI’s 15-year companion had half that increase, rising by three basis points to an average rate of 3.15 percent. Popular with first-time homebuyers, rates on fully-insured FHA-backed 30-year FRMs remain considerably below their conforming counterparts but bumped up by three basis points to end at 3.62 percent for the week. Meanwhile, the overall 5/1 Hybrid ARM also added three basis points to last week’s average, edging higher to land at 3.93 percent. HSH’s FRMI includes both conforming and jumbo rates, providing borrowers with a broader view of mortgage conditions.
After a four-week flat spot (at or near 2015 lows) mortgage rates have started to tick upward again, so volatility is back, at least some degree. That said, there are no indications that we’ll be breaking any new ground for rates anytime soon, but we do expect to see more volatility next week as a wide range of new economic data is due. If there is a upturn in strength in the ISM service-business report and/or if Friday’s employment report rebounds more strongly than expected, we could have some additional space to move to the upside. With those yet unknown, we’ll look for another six basis point lift (or perhaps a touch more) in our FRMI by the time the week is through.
Investors Corner
Widespread Gains in Home Prices for February
According to the S&P/Case-Shiller Home Price Indices
New York, April 28, 2015 –S&P Dow Jones Indices today released the latest results for the S&P/Case-Shiller Home Price Indices, the leading measure of U.S. home prices. Data released for February 2015 show that home prices continued their rise across the country over the last 12 months. More than 27 years of history for these data series is available, and can be accessed in full by going to www.homeprice.spdji.com. Additional content on the housing market can also be found on S&P Dow Jones Indices’ housing blog: www.housingviews.com. Year-over-Year Both the 10-City and 20-City Composites saw larger year-overyear increases in February compared to January. The 10-City Composite gained 4.8% year-over-year, up from 4.3% in January.
The 20- City Composite gained 5.0% year-over-year, compared to a 4.5% increase in January. The S&P/CaseShiller U.S. National Home Price Index, which covers all nine U.S. census divisions, recorded a 4.2% annual gain in February 2015, weaker than the 4.4% increase in January 2015.
Read more at https://goo.gl/Ks568R
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San Mateo County (SMC): Spring Surge
Sales of single-family, re-sale homes rose for the third month in a row in April, month-over-month. Home sales in the county still lag from the year before.
Active listings continue to be anemic, down by double-digits for the tenth month in a row. Pending sales were down double-digits for the eighth month straight.
The median and average prices for homes hit all-time high last month, as did our three-month moving averages.
The sales price to list price ratio reached its highest level since we’ve been keeping track: January 2003.
Days on Market was at 22 last month.
All these statistics point to incredible demand.
The economy in Silicon Valley continues to power the market, along with demand from China.
April Stats (SMC)
Single-Family Homes
Year-Over-Year
- Median home prices increased by 29.6% year-over-year to $1,297,500 from $1,001,000.
- The average home sales price rose by 13.7% year-over-year to $1,619,040 from $1,424,330.
- Home sales fell by 11.1% year-over-year to 394 from 443.
- Total inventory* fell 29.1% year-over-year to 723 from 1,020.
- Sales price vs. list price ratio rose by 1.9% year-over-year to 109.8% from 107.8%.
Compared To Last Month
- Median home prices improved by 0.6% to $1,297,500 from $1,290,000.
- The average home sales price rose by 1.0% to $1,619,040 from $1,603,060.
- Home sales up by 20.1% to 394 from 328.
- Total inventory* increased 4.5% to 723 from 692.
- Sales price vs. list price ratio increased by 0.3% to 109.8% from 109.4%.
Condominiums
Year-Over-Year
- Median condo prices increased by 7.8% year-over-year to $655,000 from $607,500.
- The average condo sales price rose by 8.8% year-over-year to $729,322 from $670,200.
- Condo sales fell by 18.3% year-over-year to 134 from 164.
- Total inventory* fell 33.6% year-over-year to 178 from 268.
- Sales price vs. list price ratio rose by 3.0% year-over-year to 108.6% from 105.5%.
Month-Over- Month
- Median condo prices slipped by 1.5% to $655,000 from $665,000.
- The average condo sales price rose by 1.1% to $729,322 from $721,306.
- Condo sales up by 20.7% to 134 from 111.
- Total inventory* dropped 10.6% to 178 from 199.
- Sales price vs. list price ratio increased by 1.6% to 108.6% from 106.9%.
* Total inventory is active listings plus contingent or pending listings. Active listings do not include contingent listings.
Call or email me if you have any questions.
For further details and a city-by-city breakdown statistics, go to http://avi.rereport.com/market_reports.
